Banks are offloading the trusted process of ID verification to an untrusted entity (end-user, merchant,...) and compensate for the loss of security by using a trusted service-provider (now Apple AND an iPhone 18 Pro).

This is already happening today in two scenarios:

1. lower-risk scenarios (remotely) with trusted 3rd party service-providers and very low Hardware-requirements ("use this app on your phone to take a picture/video") and

2. higher-risk scenarios (on-site) with trusted 3rd party service-providers ("use THIS expensive device to take a picture/video of the customer/citizen")

Apple now potentially disrupts the service-provider industry of #2 (higher-risk scenarios) by

#a grabbing a part of this hardware/service market that MAY allow the end-user to be in control of the device and

#b replacing the on-site hardware/service with an iPhone "in a box".

They can't disrupt #1 because their cost-saving can't mandate the end-user to buy a 1000+ USD device just for THEM to provide the contracted service. (They can add convenience if you have it, but they can't reject their service if you don't)

Which means they disrupt mainly #2: The industry providing trusted imaging solutions for higher-risk scenarios.

--> So it's the Watch Ultra game all over again.

On Watch Ultra they disrupted the diving-watch market by the sheer scale of selling their development to everyone buying a Watch Ultra, driving down the cost so much that they can undercut every diving-watch company on the market.

Now they use the sheer scale of iPhone 18 Pro sales to enter the trusted-imaging market-segment, undercutting every player there and take that market.